Apple has declared the financial results for the fiscal third quarter (second calendar quarter) ending June 25, 2016. More or less, the announcements have been on the expected lines.

The financial results reveal the second consecutive year-over-year declines both in quarterly revenue and iPhone sales. However, Apple Pay and Services category have seen heart-warming success. Let’s have a quick look at some of the most significant announcements!

Apple Quarterly Revenue

Apple’s Q3 2016 Revenue: Biggest Takeaways at a Glance

“We are pleased to report third quarter results that reflect stronger customer demand and business performance than we anticipated at the start of the quarter. We had a very successful launch of iPhone SE, and we’re thrilled by customers’ and developers’ response to software and services we previewed at WWDC in June,” Said Apple CEO Tim Cook.

“Our Services business grew 19 percent year-over-year, and App Store revenue was the highest ever, as our installed base continued to grow and transacting customers hit an all-time record. We returned over $13 billion to investors through share repurchases and dividends, and we have now completed almost $177 billion of our $250 billion capital return program,” said Luca Maestri, Apple’s CFO.

Apple Q3 2016 Revenue by Category

  • During the third fiscal quarter of 2016, Apple managed to achieve the revenue of $42.4 billion and net quarterly profit of $7.8 billion, or $1.42 per diluted share as against revenue of $49.6 billion and net quarterly profit of $10.7 billion, or $1.85 per diluted share, in the same quarter last year.
  • For the quarter, gross margin for the quarter stood at 38 % as against 7% in the same quarter last year.
  • International sales accounted for 63% of revenue.
  • iPhone install base has increased by 34% over the past year in China.
  • Apple was able to sell 40.4 million iPhones during the quarter, down from 47.5 million during the same quarter last year.
  • Mac sales stood at 4.25 million units, down from 4.8 million units in the same quarter last year.
  • iPad sales fell to just 9.95 million down from 10.9 million.
  • iPhone sales in India has increased by 51% year-over-year in first three-quarters this year.
  • 3 out of 4 contactless payments is now being made using Apple Pay.
  • Apple believes that the ‘services’ category to be the size of a Fortune 100 company by 2017.
  • iPhone SE demand has piped supply through June quarter.
  • There are over 11 million contactless POS in participating Apple Pay countries.
  • Currently, Apply Pay is now available in 9 markets, which are among the top 6 out of Apple’s top 10 markets.
  • Apple boasts of $231.5 billion in cash and marketable securities.
  • Apple gave $13 billion to shareholders in the last quarter.
  • Apple made three acquisitions in during the last year.
  • App Store revenue has increased by massive 37%.
  • iTunes Store has been able to set a tremendous record for customer transactions.
  • The services now contribute 11% of Apple’s overall revenue.
  • iPhone SE has been hugely successfully not only in developed but also in emerging markets
  • A large number of Android users have switched to iPhones.

What do you think of the decline in iPhone sales? Will iPhone 7 be able to wrest the slump? It would be great to have your views in the comments below, on Facebook, Twitter, and Google Plus.

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